The Obama Regime initially claimed that there would be no federal bailout, but we all know what a big, steaming pile that is. No, Congress would never approve it, but O has his pen, phone, and putter, so Governor Padilla will get his cash one way or the other.
- Me, three months ago
That's the endgame, folks. Decreeing unprecedented bankruptcy protection for the island "commonwealth" that spent itself into its current fiscally terminal condition after Congress balks at the irresponsible prospect is simply the first step in this welfare state waltz:
Barack Obama is pressing for Congress to give Puerto Rico sweeping powers to reduce its $73 billion debt burden through bankruptcy, escalating administration involvement as the Caribbean island’s access to cash dries up.
Which is to say, the Puerto Rican government would not have to pay back one red cent of it, all its private sector creditors would get screwed, and, having had to learn nothing from the experience, the former would be free to get started on the next $73 billion of debt.
Well, wait, I take it back - THAT is the lesson that would be learned by San Juan.
Puerto Rico would be provided with a form of bankruptcy protection not now available to American territories.
And I'm pretty sure it's for a very good reason.
Administration officials also called for lawmakers late Wednesday to increase health-care funding for Puerto Rico.....
What? The island commondebt wasn't included in ObamaCare? How was that allowed to happen? If not for that blunder, Puerto Rico's debt could have been two or three times as big.
....extend tax credits to the poor....
Who do not, of course, pay taxes. Extending them to the "rich," who do, would be far more economically productive.
....and put independent oversight in place to monitor the government’s budget.
And make sure that nothing is done to even slow down its continued, suicidal growth.
The proposals suggest the crisis has reached a point where federal officials, who had vowed not to extend a financial bailout, can’t wait for the commonwealth and creditors to work out a compromise after talks broke down Wednesday.
Why not? The talks are between Puerto Rico and its creditors; it's none of the federal government's business. And the Puerto Rican vote is insignificant at best.
Perhaps the idea is that after Obama bails out the island by Executive Order, he'll issue another decree making PR the fifty-first State and guarantee two additional Democrat senators and several additional Democrat congresscritters.
The proposals are likely to face resistance in Congress, where Republicans have blocked a bill that would extend more limited bankruptcy powers to the island.
Which will be The One's pretext for "taking Executive action". Because "(Puerto Rico) can't wait," the same pretext for all his despotic power grabs.
And once Puerto Rico has been bailed out, that will open the floodgates for New York, Illinois, California, and eventually all fifty States to follow suit.
He'll get us to fifty-seven eventually.